Prichard, Ala. – In an emergency City Council session on Friday, Council President Traci Hale announced that the city’s general‑fund account was overdrawn by more than $20,000 after payroll was processed. The council voted unanimously to adopt a resolution that will compel City Attorney Josh Briskman to provide a satisfactory explanation by the close of business on Monday, or else a formal audit will be ordered.
Balance shortfall and pending wages
According to Hale, the general‑fund balance stood at $194,200 on Friday, while three pending wage payments totalled $214,803. “As of right now today, the account balance, as you can see at the top, is negative $20,602.36,” she said.
Gas‑tax fund transfer under scrutiny
Council members raised immediate concerns about a $60,000 transfer from the city’s gas‑tax fund to the general fund earlier in the week. By law, gas‑tax revenue is earmarked for road and bridge projects. After council members questioned the move, Finance Director unnamed reversed the transfer on Thursday.
Mayor Carletta Davis has previously denied any cash‑flow problems, but council members pressed her on whether the transfer violated state law. Davis responded that the $60,000 was intended to pay for repairs to Whistler Street, citing an Oct. 26 council‑approved $23,250 expenditure for that project. A check was issued on Oct. 30 but has not yet cleared, leaving the purpose of the larger transfer in doubt.
Additional funding questions
Council members also sought clarification on a storm‑water management grant, though Council Attorney Moshae Donald Walker noted that documentation describing any restrictions on those funds has not been located.
Council members call out broader fiscal worries
Councilwoman Stephani Johnson‑Norwood told reporters the payroll shortfall is “the latest sign of financial distress.” She reminded the body that the council previously voted to limit unnecessary expenses and to require council approval for any expenditure over $10,000 – a rule the mayor has challenged in court, with a judge’s decision still pending.
Johnson‑Norwood also questioned the city’s priorities, noting that police services have been transferred to the Mobile County Sheriff’s Office and that municipal insurance was recently canceled. “If you all are having limited funds, why are we having a Juneteenth celebration? And there was the Red, White and Boom Fourth of July event. And now we’re talking Christmas Extravaganza. And we don’t have insurance. We don’t have police. You just don’t do – we feel it’s reckless to do those kind of things,” she said.
Mayor’s response on holiday events
Mayor Davis clarified that the $100,000 budget for the upcoming Christmas Extravaganza will be covered by private donations, not taxpayer money.
Next steps
The council’s resolution gives the city attorney until Monday to explain the accounting discrepancy. If the explanation is deemed inadequate, a formal audit will be commissioned to ensure transparency and compliance with state restrictions on gas‑tax revenues.
City officials have not yet responded to requests for comment on the audit resolution. The council will reconvene later this week to discuss the mayor’s legal challenge to the $10,000 spending limit and to review any further financial documentation that emerges.
Original reporting: FOX10 WALA Mobile (news) — read the source article.